...Fred Maiorino had been a successful sales manager for Schering-Plough Corporation for thirty-one years before Jim Reed was named general sales manager over the South Jersey sales district that included Fred’s sales territory. Afterwards, Reed implemented several changes to try to boost sales including a new performance appraisal system and a hands-on coaching style to motivate his sales staff. The problem arose with Reed’s inability to motivate Fred (Buller & Schuler, 2003). In this case study, we will compare and contrast both the ineffectiveness of Jim Reed’s methods, as well as more favorable methods he could have used to influence a more positive outcome. The major issue is this case is Reed’s inability to motivate Fred, which inevitably led to the dismal of a long-time loyal employee. The major issues associated with this motivation problem include Reed’s unsuccessful leadership attempt, the de-motivating factors of the appraisal system, and the violation of the psychological contract. One major issue is Reed’s unsuccessful attempt at leading Fred. One could describes Reed’s leadership style as a directive leadership behavior of the path-goal theory that one typically uses with a new employee or a transactional leadership style that is used by many sales persons. Sales managers generally employ transactional leadership behavior which can “induce adequate attitudinal and behavioral responses in employees, transformational leadership has found to engender even...
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...Case: How to Motivate Fred Maiorino Introduction Fred Maiorino had been a successful sales manager for Schering-Plough Corporation for thirty-one years before Jim Reed was named general sales manager over the South Jersey sales district that included Fred’s sales territory. Afterwards, Reed implemented several changes to try to boost sales including a new performance appraisal system and a hands-on coaching style to motivate his sales staff. The problem arose with Reed’s inability to motivate Fred (Buller & Schuler, 2003). Major Issues The major issue is this case is Reed’s inability to motivate Fred, which inevitably led to the dismal of a long-time loyal employee. The major issues associated with this motivation problem include Reed’s unsuccessful leadership attempt, the de-motivating factors of the appraisal system, and the violation of the psychological contract. Reed’s Unsuccessful Leadership Attempt One major issue is Reed’s unsuccessful attempt at leading Fred. One could describes Reed’s leadership style as a directive leadership behavior of the path-goal theory that one typically uses with a new employee or a transactional leadership style that is used by many sales persons according to Dubinsky, Yammarino, Jolson, and Spanger (2001). “Sales managers generally employ transactional leadership behavior which can “induce adequate attitudinal and behavioral responses in employees, transformational leadership has found to engender even higher results”...
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...Summary Fred Maiorino specialized in promoting asthmatics products at Schering-Plough Corporation. He worked for 35 years. He was the top-ranked sales representatives in the district with Serious of successful assignments, primary in the areas of eastern Pennsylvania and western New Jersey. The District sales Manager Reed implemented new system replaced the sales quota system used before. This system measures quantitatively objective and quality aspect. Fred got low performance evaluation using this new system, therefore his boss Reed tried to motivate him to increase his performance by providing him medical journals to improve his sales and setting a realistic goals to be achieved. On July 15, 1991 Fred had been fired by his boss Jim Reed for not performing up to company standards, not meeting company sales goals and excessive tardiness. Fred position was replaced by a 24 years-old Eric Adeson. Fred believes that the new evaluation and motivation system was unfair against the company senior sales representatives and his age was the real reasons for the firing, because he refused the Retirement Program offered by Reed and since then he starts collecting evidences against his performance and work. Analysis This dilemma has two different dimensions: employee who served 35 years perspective and manager perspective. Fred has a proud history as a salesperson for the company and he is satisfied with that. He used to perform upon sales quota system which is simple system and achievable...
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...How to Motivate Fred Maiorino Fred Maiorino was a successful sales manager for Schering-Plough for over 31 years before Jim Reed was appointed general sales manager over the South Jersey sales district. Upon Jim Reed’s arrival he implemented several changes to try to increase sales and motivate staff. Jim Reed was unsuccessful at motivating Fred. Fred Maiorino was later terminated after countless unsuccessful attempts were made to motivate him. After analyzing the situation Jim Reed lacked the management skills needed to motivate Fred a successful employee of over 31 years. Jim Reed’s unsuccessful leadership attempt and a failed appraisal system were factors in the demise of Fred Maiorino. Jim Reed’s leadership can be described as directive leadership which is typically used with new employees according to Dubinsky, Yammarino, Jolson and Spanger (1995). Jim felt the need to micro-manage Fred as he attempted to tell Fred how to accomplish his goals and increase his sales. The appraisal system was a failed attempt in motivating Fred. Fred was accustomed to excelling at a certain level in which he failed to do under Jim Reed. When one does not excel or meet certain expectations with an appraisal system he or she will not be awarded merit raises or bonuses. This can be and was demeaning for Fred. In an appraisal system an employee is rated and given feedback on his or her deficits. The feedback should be constructive criticism that should help the employee improve upon...
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...Behavior Assignment No. 1 How to Motivate Fred Maiorino? Instructor Joan L. Slepian Submitted By Darshan Shah Fairleigh Dickinson University How to Motivate Fred Maiorino? Introduction:- Fred Maiorino was from one of the ‘Star Members’ of sale representatives of Schering-Plough – a pharmaceutical company. As a 28 years old college graduate, Fred Maiorino joined the Schering-Plough on March 26, 1956. Fred’s performance was outstanding and he always tried to give his best for his company. He received the company recognition and various performance awards for his excellent performance. In early 1987, Fred was elected as a top ranked representative for his territory. Despite of such an excellent working profile, Fred Maiorino faced many problems towards the end of his career. Due to unfair management practices and change in working environment Fred was fired from the organization. In my opinion, the management was partial and mismanaged in Fred’s case. New management would have been handled this case much better by motivating Fred Maiorino. Performance Equation:- [pic] Ability: Ability is the function which is derived by acquisition of knowledge and development of skills. It is clear from the given case that, Fred was very good at communication skills and he had maintained personal relationships with all the physicians while working. According to Gerald Novik, a Bordentown, New Jersey physician, “Fred knew all the secretaries,...
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...In July of 1991, Fred Maiorino lost his job as a sales representative for Schering-Plough after several years as a top salesperson. After a lengthy court case and trial, Fred won a lawsuit in the state of New Jersey for age discrimination and was awarded $8.44 million in 1994. Whether or not Fred’s age was the reason Maiorino was actually a factor is beyond the scope of this paper or the information on hand. The jury that sat for the trial certainly has more details and first-hand accounts of the issues; the jury decided in favor of Maiorino and, with a little faith in our justice system, I will accept their decision. After a review related to motivation, I discuss the actions Schering-Plough took to motivate Fred and the way feedback and age affect job satisfaction and job performance. Motivation Methods of motivating employees is much discussed in management journals. From Herzberg’s KITA (kick-in-the-ass) method (2003) to need- based motivation to reinforcement theory, this issue has raised many questions about what kind of motivation works for companies. In my research, I found that one of the most important things for managers to keep in mind when trying to motivate an employee is that every employee is different and will react differently to the various techniques available (Duening & Ivancevich, 2006; Kolstrup, 2012; Milbourne & Francis, 1980; Deal, Stawiski, Graves, Gentry, Weber & Ruderman, 2013). A lack of absenteeism, putting forth best effort, always...
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...Motivating Maiorino Critical Issues On July 15th, 1991 the 63 year-old Fred Maiorino lost his job at the major pharmaceutical company, Schering-Plough. It was an ignominious end to an otherwise storied career of 35 years, and the culmination of an over two year struggle between Fred and his district manager, Jim Reed. In the legal battles that followed, Fred claimed that his termination was motivated by age discrimination on the part of his former employer, and eventually won a landmark victory of $8.44 million dollars, New Jersey’s largest ever age-discrimination award. The purpose of this paper is not pass judgment on Schering-Plough for its termination of Fred Maiorino, or whether their actions were right or wrong. We deal in the facts, not the morality of the situation – that is, an aging worker has a real or imagined failure to perform, in doing so he is eventually terminated from his job and prematurely ends a long and otherwise distinguished career. The focus of this paper is instead on the management failure that occurred – the lack of success in motivating Fred, the actions taken that led to a loss of confidence both in his employer, and Fred’s employer’s confidence in him, and more. All of these factors accumulated into the eventual loss of a distinguished and well-known employee in an industry that relies heavily on the interpersonal relationship and trust between a doctor and his pharmaceutical rep. Once Jim Reed determined that Fred wasn’t performing to his expectations...
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